The phrase mobile payments and mobile credit card processing are often used interchangeably when businesses consider what payment options are best for their processing needs.
This has inadvertently caused some businesses to overlook the many perks that exist within mobile credit card processing — and why they need to integrate a mobile POS. Particularly for the SMB crowd, it’s important to know that mobile credit card processing goes far beyond swiping cards with a mobile reader or having equipment that can accept mobile payments. Mobile, in today’s digital age, is all about the ability to accept and reconcile mobile payments anytime, anywhere, and on almost any device.
We’ve broken down the core of what businesses need to know about mobile credit card processing, what it means for your bottom line and why/how you should implement it into your business model.
How Mobile Credit Card Processing Works
Mobile credit card processing refers to the type of software and hardware that enables a more modern and seamless checkout experience. This type of processing solution has benefits for businesses both in-store and online. To start, integrating a mobile credit card processing system involves finding a solution provider that offers an all-in-one mobile POS that accepts magstripe, EMV, and contactless payments.
This mobile credit card processing system works similarly to the old-fashioned POS systems businesses have traditionally relied on, but with a few added perks. Instead of having a lag in when payments are processed and reconciled into your systems, a mobile POS fully connects with the rest of your billing and accounting systems to keep your payments records up to date in real time.
A mobile POS system is about more than just swiping credit cards on a mobile device. The “mobile” aspect refers to the added flexibility and functionality that exists within the system. A mobile credit card processing system also is equipped with modern security features needed to fend off data breaches. This includes protocols like end-to-end encryption, secure user logins, and authorizations, faster credit card processing, updated PCI standards. An mPOS solution also provides insights into transaction activity occurring across all your business channels.
Core Benefits of Mobile Credit Card Processing
For businesses who want to track their in-store and online payment systems at the same time, a mobile POS system fits the bill. Mobile credit card processing systems also provide for better personalization of the shopping experience. In fact, mPOS devices allow you to innovate your customization process with each customer. With the ability to integrate technology that enables you to customize data fields to match each user, businesses can tailor their checkout solutions to their needs of each specific customer.
Working with a full-service mPOS solution helps SMBs better integrate recurring billing, process payments efficiently offline, and work seamlessly on Android, iPad, and iPhone credit card readers. Choosing a mPOS system allow you to accept innovative payment methods, such as mobile and contactless. This is beneficial from a practical standpoint and a customer acquisition strategy.
Mobile credit card processing systems provide businesses the ability to transact on-the-go, settle records anytime and anywhere, and have richer interactions with your customers. With integrated flexibility, mobile credit card processing adapts to new trends in the marketplace and can help businesses better onboard solutions as they enter the market.
How Mobile Credit Card Processing Can Set Your Business Apart
There’s one core demographic every business is working to win over: Millennials. Mobile credit card processing can give your business an edge with this tech-driven generation. These customers are already using their mobile devices for every other aspect of their lives and they expect the same out of their shopping and payment experiences.
Millennials today are empowered by choice. Increasingly, technology provides this generation with an increased motivation to choose a specific business. Whether it be paying at the point of sale, a mobile app, or a mobile webpage, businesses should be equipped with modern payment processing methods. Mobility, particularly with the millennial generation, can be a game-changer. All businesses today need an edge to attract customers in the ever-competitive marketplace — mobile can provide that differentiator.
As Millennials get financially savvier, their dollars are going to continually be more valuable. This is causing this generation to change the way business interact with their customers. This population is motivated by services that make their shopping experiences easier and faster. They are also motivated by digital experiences that can provide more secure ways to conduct their business.
For businesses to keep up with the trend they need to integrate solutions with digital payment networks, work with payment facilitators that embrace mobile credit card processing and offer the latest and greatest in digital payment protection. Banks, for example, are trying to become less vulnerable with the millennium population by innovation what types of products and services they offer. Businesses should apply this same philosophy to their mobile credit card processing technology.
How to Adapt Your Business to a Mobile Credit Card Processing Model
The first place to start when thinking about integrating a mobile credit card processing system is finding the right partner. This will be what directly impacts your businesses ability to onboard new technologies as they enter the market. By working with a partner like Payline, your business can choose a flexible solution that is built to fit your business as it grows. From new businesses to thriving and growing SMBs, Payline has options that can empower businesses to be in control of the mobile credit card processing experience.
Onboarding a mobile POS system doesn’t have to be complicated. In fact, a mobile credit card processing system should be anything but complex. Look for a solution that offers no up-front costs and hidden monthly fees. Work with a provider that understands the evolving mobile payments technology market. You can even find a mobile credit card processing system that innovates your countertop solution without needing to change out your entire POS system.
Determining how you should be charged for mobile credit card processing should also be transparent and straightforward. Businesses should look for solutions that use what’s called interchange plus pricing. This offers you access to a transparent, fixed price that fits exactly what your business needed. You should also look for mobile card readers that can be upgraded as new payments technology is introduced. For example, a mobile card reader should accept EMV, magstripe and NFC/Contactless payments.
Payment technology is changing fast, which should motivate businesses to update their POS systems to be able to integrate those new products and services. Mobile credit card processing can keep your business continually up to speed without having to worry about what the next “big thing” will be in the market. Once it’s introduced, your system will be ready to adapt.
Anna Kragie is a content contributor for Payline Data. She previously wrote for PYMNTS.com, as a Sr. Content Producer, where she focused on financial services and payments innovation, fraud and security, emerging payments, and FinTech news, research and thought-leadership content across the payments industry.